Help please 31 July 2022 at 12:52AM in Debt-free wannabe 3 replies 577 views

Vapegirlclouds

Hello,
Apologies for any errors I'm sight impaired. 
I'm trying not to have a complete meltdown.

I'm disabled, receive high rate PIP. I work over 40 hours a week & manage to juggle everything quite well.
My husband has long covid. He's frontline & we have been very fortunate that he has been on a covid scheme & received  full pay.
We are just about managing financially, with enough money for food shopping each month. We spent years getting out of debt,  now have a good credit score etc. After having our house repossessed in 2003.


From November he will be half pay 6 months then 0 pay.
He's being tested for dementia & parkinsons among other things. 
I can't see him going back to work at all. The memory issues are awful.
His health & wellbeing are my main priority.

However I still have to deal with the bills & how we will live.
When he goes down to half pay we will not manage.

We have no savings, have gas & electricity paypoint meters.
We have a £500 loan payment monthly with Lloyd's & 4 credit cards all with approximately £100 on each, to keep them active.

Our electricity has gone up to £180 a month on the token meter, our gas £90 
This obviously affects everyone. 
Rent & council tax is £650 per month, we live in social housing. 

We're looking at losing £600 then £1200 a month

The only thing I can think of doing is opening up a new bank account while we still have good credit & transferring wages to there.

At least I'll be able to access my wage to pay rent.
If all DDs go out of bank on half pay we'll have no  money to live,mgas, electricity,  food etc.

We'll end up not being able to afford gas & electricity,  let alone the loan payment.we don't have surplus funds, we've lived on beans on toast in the past & will happily again.

There will be things I can cut out to make some savings, sky, obviously we'rethankfully out of contract.

We have I assume similar bills to most.
House insurance,  pet insurance. We pay £30 a month to be on a dental plan.

We have a dog & I'll do without everything for him to have what he needs, no other dependants.


I just don't know what to do or where to turn.

Or how to begin planning for this.
This is all on me to sort out.
I'm at the point where I can't even think straight with worry, I'm not sleeping.

Do I talk to the bank?

 Tell them that we're not going to be able to afford payments etc.?

I'm terrified for the future & I know we're luckier than a lot currently, but it's about to go terrible.


He's 48, I'm 42 & a public servant.

Any advice would be appreciated. 
If this belongs in another forum please advise
Thank you.

MovingForwards

First things first, fill in this and format it for MSE, it will help you and us see where your money is going and make suggestions about how to deal with the debt:
https://www.lemonfool.co.uk/financecalculators/soa.php

Then fill in this as if it's just you working, you'll have an idea about what benefits can be claimed:
https://www.entitledto.co.uk/benefits-calculator/Intro/Home?cid=dc0b09dd-c79c-4ee6-9fc8-eec30faf32d3 

Next, look at your husband claiming PIP.

When you say your husband is 'frontline' what do you mean, NHS? 

Has your husband been in the pension offered by his employer? If so, have a look at both the company policy and pension policy on medical retirement and receiving his pension.

peteuk

Firstly please do not apologise, what you’ve written is obviously difficult, especially given the various factors and pressures you currently face.   Admitting there is a problem and wanting to do something about it is a big step. 

Talk to the free debt advice, either step change or citizen advice. 

Did you take PPI on the loans/credit card?

With your PIP you will receive an extra payment (I think its £150 but not too sure, take a look at the benefits forum) and your electricity will be credited with £400 in October. 

You’ll get support from the forum,  please post your SOA.

Good luck! 

sourcrates

Don`t struggle to keep paying non essential debts, just keep in mind that the unsecured credit debts are all non priority, so are last on the list for payment.

Priority debts come first, if the money won`t stretch, then it won`t stretch, creditors are well used to these type of situations, so try not to worry.
You will have to write and explain your situation, to your creditors, but that shouldn`t be a problem, as affordability is a key factor these days, they will put your accounts on hold, accept token payments, or even consider write offs if your circumstances won`t change all that much.

You should try to be pro-active here, maybe stop paying that loan now, save up an emergency fund, as it seems you are gong to need it, priorities do change, and you must adapt to that change, the time is coming to look out for yourselves, and that can mean some quite drastic decision making.

Good luck with it.